ACV Auctions double downgraded to Underperform at BofA

As previously reported, BofA downgraded ACV Auctions (ACVA) to Underperform from Buy with a price target of $6, down from $16.50, noting that management’s outlook for Q4 growth and margins is a downshift from the firm’s prior expectations for share gains. Other online names in the wholesale auto dealer market seem to be growing more steadily with less incremental investment spend, suggesting lesser share gains for ACV, or at least an increasingly expensive proposition for incremental share gains from here, the analyst tells investors, adding that the company’s initial outlook on 2026 is “not creating much optimism.”